Modification of Central Capital Investment Subsidy Schemes for Micro, Small and Medium Enterprises (MSMEs) of Jammu & Kashmir and the North Eastern Region
The Cabinet has approved modifications in the Central Capital Investment Subsidy Schemes under the industrial packages available to J&K and the North Eastern Region (NER) in so far as they apply to MSME sector. Under the modified scheme, the Capital Investment subsidy for the MSME units in J&K will be enhanced to 30% of the investment on Plant & Machinery against 15% available at present, at par with the units in the NER.
In addition, the MSME units in both J&K and NER will now be eligible to claim subsidy each time they undertake expansion so long as the total investment on Plant & Machinery does not exceed the ceilings prescribed for MSME units i.e. Rs.10 crore in case of the units in the manufacturing sector and Rs. 5 crore for the units in the Services sector.
These modifications have been made as per the recommendations of a Task Force, set up under the chairmanship of the Principal Secretary to PM, to consider various issues raised by the associations representing the Micro, Small and Medium Enterprises (MSMEs).
